A clause in your mortgage allowing your lender to demand
payment of the outstanding loan balance. The reasons for triggering of
this clause? Borrower defaults on the loan or transfers title to
another individual, sells property or other lender stipulation.
A mortgage in where the interest changes periodically,
according to corresponding fluctuations in a financial index. All ARMs
are tied to financial indexes.
The specific date the interest rate changes on an
adjustable-rate mortgage. Amortization
The loan payments consisting of a portion applied to pay the interest
on the loan, The rest is applied to the principal balance. As time
increases more goes to pay down the principle until the balance is paid
off at a specified time.
A table showing how much of each payment will be applied
toward principal and how much toward interest over the life of the
A loan based on a specific time table for
repayment.Annual Percentage Rate (APR)
The cost of a mortgage listed as a yearly rate. Includes interest,
mortgage insurance, and loan origination fee (points).
A properties fair market value, based on an appraiser's analysis of the
property. An appraisal is based primarily on most recent comparable
sales of similar properties in the neighborhood.
The increase in the value of a property due to supply and demand.
The value placed on property by a public tax assessor for
purposes of taxation.
To place a value on property for the purpose of taxation.
A county official who establishes the value of properties
for taxation purposes.
A mortgage that can be assumed (taken over) by the buyer
when a home is sold. The borrower must meet lenders qualifications to
assume the loan.
The term applied when a buyer assumes a sellers mortgage.